Questions

I hear so many entrepreneurs say they wish they hired a bookkeeper sooner than they did. I'm curious to know what exactly a bookkeeper does and whether I should hire one or continue to manage my books myself. Basically, my DIY system for the past few years is this: every 1st of the month, I tally up all of my revenue and expenses, record them in a spreadsheet. I use this to figure out my profit and amount to pay in quarterly estimated taxes. I have my accountant handle filing my (my family's) annual tax return. As my business is beginning to grow and become more complicated (growing team, more revenue streams, etc) I'm starting to think its time to hire a bookkeeper. My business consists of a mix of consulting, a SaaS product, and some one-off digital products. The questions I have are: 1. What are the tasks that a bookkeeper performs, and how often? 2. What are the benefits of having a bookkeeper vs managing it yourself? 3. How does one get started working with a bookkeeper? 4. Is a bookkeeper and CPA the same thing? Should I have one bookkeeper for my business (LLC) and separately an accountant who handles my family's annual tax return? What's a typical approach here? 5. What are the going rates for a US-based bookkeeper for a small LLC?

NIcole is right.
When I first started my business I thought I was saving money by doing my own bookkeeping. It took me much longer than it would take a bookkeeper - all time that I was not spending on marketing or billable activities. And in the end I made errors which made the initial work of the bookkeeper longer.

I now have a consistent routine. My bookkeeper picks up all my material monthly and does my books in less than 2 hours. Very worthwhile.


Answered 10 years ago

Unlock Startups Unlimited

Access 20,000+ Startup Experts, 650+ masterclass videos, 1,000+ in-depth guides, and all the software tools you need to launch and grow quickly.

Already a member? Sign in

Copyright © 2024 Startups.com LLC. All rights reserved.